Paracelsian Announces Letter of Intent to Manufacture Environmental Assays in China
ITHACA, N.Y., April 26 /PRNewswire/ -- Paracelsian, Inc. (OTC Bulletin Board: PRLN - news) announced today it has signed a Letter of Intent with a company in China to cooperate in the development of a facility for the high volume manufacture of Paracelsian's Ah-Immunoassay kits. The Letter of Intent with Beijing Health-Way Management Company is a significant step in Paracelsian's strategy to establish low cost manufacturing capability in China that is sufficient for meeting potentially high demand from Kubota Corporation in Japan and from other markets in Asia and Europe.
``The near-term market for dioxin testing in Japan is $400-600 million annually, and Kubota believes that a screening method such as Paracelsian's Ah-Immunoassay has the potential to capture 25% of that market in two years if such screening detection methods are officially approved for use,'' said Mr. Yasuo Kobayashi, Kubota's Deputy Manager of Technology Development. ``Since announcing our license agreement with Paracelsian, more than 50 companies have contacted Kubota regarding their interest in Paracelsian's technology -- we are very pleased to be partnering with Paracelsian in the commercialization of this exciting technology,'' concluded Mr. Kobayashi.
``Our Letter of Intent in China was well received by Kubota,'' said Dr. T. Colin Campbell, Paracelsian's Chairman and CEO. ``We are anxious to resolve one last technical issue within the next three to four weeks so that we can ramp up our business with Kubota; the revenue potential through Kubota is very high and the timeline to this revenue is short,'' continued Campbell. ``In addition, near-term success in the Japanese market would strengthen our ability to rapidly penetrate other markets in Asia and Europe -- markets that could also be serviced from a manufacturing facility in China,'' concluded Campbell.
Paracelsian is a unique biotechnology company with three primary areas of focus. Paracelsian develops technologies useful in the detection and monitoring of environmental contaminants such as dioxin. Second, Paracelsian develops functional bioassays, which are the basis of its BioFIT(TM) Quality Assurance program for herbs, botanicals and other dietary supplements. And third, Paracelsian's Internet business leverages extensive relationships in China, along with expertise in nutritional science, to provide an exchange of unique health products and research services. |
